Merchants who use Square for credit card processing could benefit from an analysis of their credit card transaction fees.
In September, Square changed their pricing model and for the first time, added a transactional cost. The result was a significant increase on small transactions. Merchants who fall into the category of a small-ticket merchant saw their costs go up as much as 2.5%, or an effective rate over 5% per transaction.
Square’s processing fee for swiped transactions went from 2. 75% flat rate to 2.6% plus 10 cents. (Read the Bloomberg article here.) For example, a $10 swiped transaction previously cost the merchant 27.5 cents. Now the same $10 transaction processed on Square will cost 36 cents. Costs for transactions at roughly $67 or below increased.
The rate change went into effect in September for new Square customers while the rate became effective for current merchants on November 1.
Merchants processing small ticket transactions have alternatives to Square and other processing services. Client Solutions Group will provide a free, no obligation analysis to determine if the merchant is paying the best rate possible. The merchant need only provide three of their most recent credit card processing statements.
Client Solutions Group will then determine if the merchant is paying the most cost-effective credit card transaction fees based upon their individual usage.
Based in Fredonia, Client Solutions Group is a family of companies providing support services for business such as credit card processing, PCI compliance, gift & loyalty programs, POS systems, payroll processing, ATMs, bookkeeping services, computer sales & service, printing, advertising specialties and insurance.
For your free analysis, contact Client Solutions Group at 716-785-6006.